TIXC: Undervalued But Needs New Online Loving Owners
Summary
- TIXC lost 2 million of revenue to competition in 2016
- TIXC blames everything, but its poor decisions
- TIXC needs to embrace online, but it simply doesn't get it.
- Existing shareholders are welcome to join conversation at http://tixc.org
Existing shareholders can join the conversation at TIXC - get your online act together
Let's compare notes from 2016 10-K from TIXC (owner of Tix4Tonight), MARK (owner of vegas.com), and MGM latest 10-Q.
TIXC blames decreased consumer demand and lost $2 million in revenue, while vegas.com gained $1.8 million and doesn't have any issues with consumer demand. MGM further confirms that it is just TIXC not getting their act together.
TIXC: “Revenues were $21.4 million and $23.4 million for the years ended December 31, 2016 and 2015, respectively. Revenues were negatively impacted by decreased consumer demand for show tickets in the Las Vegas marketplace, the recent permanent closure of a Cirque du Soleil show for which we had significant sales in the prior year, and increased competition from online ticket brokers, show producers and hotel properties aggressively marketing to consumers.”
Vegas.com: “The increased show ticket sales through our Vegas.com website and mobile application, as well as improved commission rates we earn on sales of third-party show tickets, increased net revenue by approximately $1.8 million.”
MGM: “Entertainment revenue for the three months ended March 31, 2017 increased 12% compared to the same period in the prior year due primarily to revenue from Borgata and MGM National Harbor and an increase in Cirque du Soleil revenue. Same-store entertainment revenue increased 6% for the three months ended March 31, 2017 compared to the same period in the prior year.”
TIXC online accounts on Twitter, Instagram pale in comparison to Vegas.com accounts or Expedia.com. Tix4Tonight Instagram, for example has content from 2012 corporate Halloween party.
And Twitter account hasn't been updated since October 2016.
TIXC leadership was also not receptive to some leading edge ideas in conversational e-commerce that could work really well given their existing sales structure.
However, management declined to try this out in the near term, despite free professional helped being offered. In fact, no one to this date even tried conversational commerce protype built for them. You can personally try it out here with Facebook Messenger: m.me/1493735330682566?ref=welcome
Dear CEO and Chairman, Mitch Francis. Please consider one out of two:
1) selling the company to tech savvy investors
2) getting qualified technology and digital marketers to your board and company.
Your company need some help with online strategy. Maybe new owner will know what to do. Just look at vegas.com turnaround by MARK holdings.
Analyst's Disclosure: I am/we are long TIXC.
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